Volvo's Commitment to Electric Vehicles
Today, Volvo, part of the Al-Futtaim Group, announced its commitment to becoming a leader in the rapidly growing luxury electric vehicle market. The company aims to transition entirely to manufacturing 100% electric cars by 2030.
The Shift to Electric Vehicles
Until then, Volvo will focus exclusively on fully electric vehicles and gradually phase out any cars equipped with internal combustion engines, including hybrids.
This transition towards exclusively electric vehicle manufacturing is part of Volvo's ambitious climate plan, which seeks to reduce carbon emissions from each car through concrete measures.
Market Expectations
This decision is based on anticipated new regulatory frameworks and the rapid expansion of high-quality, accessible charging infrastructure, which will enhance consumer demand for electric vehicles.
Focus on Online Sales
Volvo's strategy to embrace fully electric vehicles coincides with an increased emphasis on online sales, offering more integrated, attractive, and transparent consumer options through the "Care by Volvo" initiative. All fully electric models will be available exclusively online.
Volvo's Electric Vehicle Strategy
Aiming for this transformation by 2030 accelerates Volvo's strategy in the electric vehicle sector, supported by the strong demand for its electric cars in recent years and the firm belief that the market for internal combustion engine vehicles will decline significantly.
Management Statements
Commenting on this initiative, Håkan Samuelsson, CEO of Volvo Cars, stated: "To continue succeeding, we must achieve profitable growth. Therefore, instead of investing in areas that will see decline, we choose to invest in the future represented by electricity and the internet. Our focus is entirely on becoming a leader in the rapidly growing luxury electric vehicle sector."
Launch of New Electric Vehicles
Last year, Volvo launched its first fully electric vehicle, the XC40 Recharge, in global markets. The company will unveil its second fully electric vehicle later today, featuring a new model from the 40 Series.
Future Goals
In the coming years, the company plans to introduce several additional electric vehicle models. By 2025, Volvo aims to increase the share of its global sales from fully electric vehicles to 50%, with hybrids accounting for the remaining share. The goal is for all cars sold by the company to be fully electric by 2030.
Volvo's Commitment to Clean Technology
Henrik Green, Chief Technology Officer at Volvo Cars, remarked: "The future prospects for vehicles equipped with internal combustion engines are limited. We reaffirm our strong commitment to becoming a company dedicated solely to manufacturing fully electric cars by 2030, which will help us meet our customers' expectations and contribute to addressing climate change issues."
UAE's Environmental Goals
Oscar Rivoli, General Manager of Al-Futtaim Trading Enterprises – Volvo, stated: "The UAE has set clear goals regarding environmental protection, focusing on building an economy that safeguards the environment and supports economic growth. In light of its new commitments, Volvo is setting new standards for clean vehicles to contribute to reducing carbon emissions in the UAE."
